Stocks Drop as Inflation Data Weighs

The S&P 500 and Nasdaq both hit intraday highs

Deputy Editor
Jul 13, 2021 at 4:32 PM
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The Dow closed 107 points lower today, as inflation data weighed on the market. The U.S. Labor Department reported a higher-than-expected year-over-year rise of 5.4% in the consumer price index (CPI) -- its fastest pace in almost 13 years. The S&P 500 and Nasdaq also pulled back to finish in the red, after both eking out record intraday highs, with the latter pushed lower by a jump in the 10-year Treasury yield by 5 basis points. In other economic data, the core CPI, excluding food and energy, made its sharpest move higher since 1991, rising 4.5%, and the U.S. federal budget deficit narrowed to $174 billion in June. Meanwhile, earnings season kicked off with financial stocks today, and investors are looking ahead to more big-name bank reports coming up this week. 

Continue reading for more on today's market, including:

  • NOK options surged after pre-earnings update. 
  • Behind Goldman Sachs' blowout earnings beat
  • Plus, analyst eyes growth for HBI; another notable bank report; and options bulls target PEP. 

The Dow Jones Average (DJI - 34,888.79) lost 107.4 points, or 0.3%. Of the 30 Dow components, Visa (V) saw the biggest jump, adding 1.9%, while Boeing (BA) paced the laggards, shedding 4.2%.

Meanwhile, the S&P 500 Index (SPX - 4,369.21) fell 15.4 points, or 0.4%. The Nasdaq Composite (IXIC - 14,677.65) lost 55.6 points, or 0.4%.

Lastly, the Cboe Volatility Index (VIX - 17.12) lost 1 point, or 5.9%.

Closing Indexes Summary July 13

NYSE and Nasdaq Stats July 13

  1. European Union (EU) regulators do not have the same endorsements toward all vaccines, which could affect travel this summer. (MarketWatch)
  2. This Big Tech name hasn't seen the same success as its peers on the charts lately, but the FAANG member's quarterly report is early next week. (CNBC)
  3. Wells Fargo predicts growth ahead for this retailer. 
  4. Blue-chip bank stock sees call surge
  5. Soda stock pops after a blowout earnings report. 

Earnings July 13

Unusual Options Activity July 13

Oil Hits Two-Year Highs

Oil prices rose today despite increased uncertainty, with all eyes on tomorrow's domestic crude inventories data, which is expected to show an eighth-straight weekly decline. August-dated crude added $1.15, or nearly 1.6%, to settle at $75.25 a barrel, sending oil prices back above the $75 level and marking their highest settlement since October 2018. 

Gold futures finished higher to conclude a somewhat volatile day as investors digested today's sharp rise in consumer prices. August-dated gold rose $4, or 0.2%, to settle at $1,809.90 an ounce.  

 

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